Texas 2021 - 87th Regular

Texas House Bill HB2235 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	H.B. No. 2235
	1	+	By: Wilson (Senate Sponsor - Schwertner) H.B. No. 2235
	2	+	(In the Senate - Received from the House May 10, 2021;
	3	+	May 10, 2021, read first time and referred to Committee on Local
	4	+	Government; May 21, 2021, reported favorably by the following
	5	+	vote: Yeas 7, Nays 0; May 21, 2021, sent to printer.)
	6	+	Click here to see the committee vote
2	7
3	8
	9	+	A BILL TO BE ENTITLED
4	10		AN ACT
5	11		relating to the creation of the 7S Ranch Municipal Utility
6	12		District; granting a limited power of eminent domain; providing
7	13		authority to issue bonds; providing authority to impose
8	14		assessments, fees, and taxes.
9	15		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	16		SECTION 1. Subtitle F, Title 6, Special District Local Laws
11	17		Code, is amended by adding Chapter 8267 to read as follows:
12	18		CHAPTER 8267. 7S RANCH MUNICIPAL UTILITY DISTRICT
13	19		SUBCHAPTER A. GENERAL PROVISIONS
14	20		Sec. 8267.0101. DEFINITIONS. In this chapter:
15	21		(1) "Board" means the district's board of directors.
16	22		(2) "Commission" means the Texas Commission on
17	23		Environmental Quality.
18	24		(3) "Director" means a board member.
19	25		(4) "District" means the 7S Ranch Municipal Utility
20	26		District.
21	27		Sec. 8267.0102. NATURE OF DISTRICT. The district is a
22	28		municipal utility district created under Section 59, Article XVI,
23	29		Texas Constitution.
24	30		Sec. 8267.0103. CONFIRMATION AND DIRECTOR ELECTION
25	31		REQUIRED. The temporary directors shall hold an election to
26	32		confirm the creation of the district and to elect five permanent
27	33		directors as provided by Section 49.102, Water Code.
28	34		Sec. 8267.0104. CONSENT OF MUNICIPALITY REQUIRED. The
29	35		temporary directors may not hold an election under Section
30	36		8267.0103 until each municipality in whose corporate limits or
31	37		extraterritorial jurisdiction the district is located has
32	38		consented by ordinance or resolution to the creation of the
33	39		district and to the inclusion of land in the district.
34	40		Sec. 8267.0105. FINDINGS OF PUBLIC PURPOSE AND BENEFIT.
35	41		(a) The district is created to serve a public purpose and benefit.
36	42		(b) The district is created to accomplish the purposes of:
37	43		(1) a municipal utility district as provided by
38	44		general law and Section 59, Article XVI, Texas Constitution; and
39	45		(2) Section 52, Article III, Texas Constitution, that
40	46		relate to the construction, acquisition, improvement, operation,
41	47		or maintenance of macadamized, graveled, or paved roads, or
42	48		improvements, including storm drainage, in aid of those roads.
43	49		Sec. 8267.0106. INITIAL DISTRICT TERRITORY. (a) The
44	50		district is initially composed of the territory described by
45	51		Section 2 of the Act enacting this chapter.
46	52		(b) The boundaries and field notes contained in Section 2 of
47	53		the Act enacting this chapter form a closure. A mistake made in the
48	54		field notes or in copying the field notes in the legislative process
49	55		does not affect the district's:
50	56		(1) organization, existence, or validity;
51	57		(2) right to issue any type of bond for the purposes
52	58		for which the district is created or to pay the principal of and
53	59		interest on a bond;
54	60		(3) right to impose a tax; or
55	61		(4) legality or operation.
56	62		SUBCHAPTER B. BOARD OF DIRECTORS
57	63		Sec. 8267.0201. GOVERNING BODY; TERMS. (a) The district is
58	64		governed by a board of five elected directors.
59	65		(b) Except as provided by Section 8267.0202, directors
60	66		serve staggered four-year terms.
61	67		Sec. 8267.0202. TEMPORARY DIRECTORS. (a) The temporary
62	68		board consists of:
63	69		(1) Chris Henry;
64	70		(2) David Hays;
65	71		(3) Bethany Leffingwell;
66	72		(4) Frank Krenek; and
67	73		(5) Shayne Eddleman.
68	74		(b) Temporary directors serve until the earlier of:
69	75		(1) the date permanent directors are elected under
70	76		Section 8267.0103; or
71	77		(2) the fourth anniversary of the effective date of
72	78		the Act enacting this chapter.
73	79		(c) If permanent directors have not been elected under
74	80		Section 8267.0103 and the terms of the temporary directors have
75	81		expired, successor temporary directors shall be appointed or
76	82		reappointed as provided by Subsection (d) to serve terms that
77	83		expire on the earlier of:
78	84		(1) the date permanent directors are elected under
79	85		Section 8267.0103; or
80	86		(2) the fourth anniversary of the date of the
81	87		appointment or reappointment.
82	88		(d) If Subsection (c) applies, the owner or owners of a
83	89		majority of the assessed value of the real property in the district
84	90		may submit a petition to the commission requesting that the
85	91		commission appoint as successor temporary directors the five
86	92		persons named in the petition. The commission shall appoint as
87	93		successor temporary directors the five persons named in the
88	94		petition.
89	95		SUBCHAPTER C. POWERS AND DUTIES
90	96		Sec. 8267.0301. GENERAL POWERS AND DUTIES. The district
91	97		has the powers and duties necessary to accomplish the purposes for
92	98		which the district is created.
93	99		Sec. 8267.0302. MUNICIPAL UTILITY DISTRICT POWERS AND
94	100		DUTIES. The district has the powers and duties provided by the
95	101		general law of this state, including Chapters 49 and 54, Water Code,
96	102		applicable to municipal utility districts created under Section 59,
97	103		Article XVI, Texas Constitution.
98	104		Sec. 8267.0303. AUTHORITY FOR ROAD PROJECTS. Under Section
99	105		52, Article III, Texas Constitution, the district may design,
100	106		acquire, construct, finance, issue bonds for, improve, operate,
101	107		maintain, and convey to this state, a county, or a municipality for
102	108		operation and maintenance macadamized, graveled, or paved roads, or
103	109		improvements, including storm drainage, in aid of those roads.
104	110		Sec. 8267.0304. ROAD STANDARDS AND REQUIREMENTS. (a) A
105	111		road project must meet all applicable construction standards,
106	112		zoning and subdivision requirements, and regulations of each
107	113		municipality in whose corporate limits or extraterritorial
108	114		jurisdiction the road project is located.
109	115		(b) If a road project is not located in the corporate limits
110	116		or extraterritorial jurisdiction of a municipality, the road
111	117		project must meet all applicable construction standards,
112	118		subdivision requirements, and regulations of each county in which
113	119		the road project is located.
114	120		(c) If the state will maintain and operate the road, the
115	121		Texas Transportation Commission must approve the plans and
116	122		specifications of the road project.
117	123		Sec. 8267.0305. COMPLIANCE WITH MUNICIPAL CONSENT
118	124		ORDINANCE OR RESOLUTION. The district shall comply with all
119	125		applicable requirements of any ordinance or resolution that is
120	126		adopted under Section 54.016 or 54.0165, Water Code, and that
121	127		consents to the creation of the district or to the inclusion of land
122	128		in the district.
123	129		Sec. 8267.0306. DIVISION OF DISTRICT. (a) The district may
124	130		be divided into two or more new districts only if the district:
125	131		(1) has never issued any bonds; and
126	132		(2) is not imposing ad valorem taxes.
127	133		(b) This chapter applies to any new district created by
128	134		division of the district, and a new district has all the powers and
129	135		duties of the district.
130	136		(c) A new district created by the division of the district
131	137		may not, at the time the new district is created, contain any land
132	138		outside the area described by Section 2 of the Act enacting this
133	139		chapter.
134	140		(d) The board, on its own motion or on receipt of a petition
135	141		signed by the owner or owners of a majority of the assessed value of
136	142		the real property in the district, may adopt an order dividing the
137	143		district.
138	144		(e) The board may adopt an order dividing the district
139	145		before or after the date the board holds an election under Section
140	146		8267.0103 to confirm the district's creation.
141	147		(f) An order dividing the district shall:
142	148		(1) name each new district;
143	149		(2) include the metes and bounds description of the
144	150		territory of each new district;
145	151		(3) appoint temporary directors for each new district;
146	152		and
147	153		(4) provide for the division of assets and liabilities
148	154		between the new districts.
149	155		(g) On or before the 30th day after the date of adoption of
150	156		an order dividing the district, the district shall file the order
151	157		with the commission and record the order in the real property
152	158		records of each county in which the district is located.
153	159		(h) A new district created by the division of the district
154	160		shall hold a confirmation and directors' election as required by
155	161		Section 8267.0103.
156	162		(i) If the creation of the new district is confirmed, the
157	163		new district shall provide the election date and results to the
158	164		commission.
159	165		(j) A new district created by the division of the district
160	166		must hold an election as required by this chapter to obtain voter
161	167		approval before the district may impose a maintenance tax or issue
162	168		bonds payable wholly or partly from ad valorem taxes.
163	169		(k) Municipal consent to the creation of the district and to
164	170		the inclusion of land in the district granted under Section
165	171		8267.0104 acts as municipal consent to the creation of any new
166	172		district created by the division of the district and to the
167	173		inclusion of land in the new district.
168	174		SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
169	175		Sec. 8267.0401. ELECTIONS REGARDING TAXES OR BONDS. (a)
170	176		The district may issue, without an election, bonds and other
171	177		obligations secured by:
172	178		(1) revenue other than ad valorem taxes; or
173	179		(2) contract payments described by Section 8267.0403.
174	180		(b) The district must hold an election in the manner
175	181		provided by Chapters 49 and 54, Water Code, to obtain voter approval
176	182		before the district may impose an ad valorem tax or issue bonds
177	183		payable from ad valorem taxes.
178	184		(c) The district may not issue bonds payable from ad valorem
179	185		taxes to finance a road project unless the issuance is approved by a
180	186		vote of a two-thirds majority of the district voters voting at an
181	187		election held for that purpose.
182	188		Sec. 8267.0402. OPERATION AND MAINTENANCE TAX. (a) If
183	189		authorized at an election held under Section 8267.0401, the
184	190		district may impose an operation and maintenance tax on taxable
185	191		property in the district in accordance with Section 49.107, Water
186	192		Code.
187	193		(b) The board shall determine the tax rate. The rate may not
188	194		exceed the rate approved at the election.
189	195		Sec. 8267.0403. CONTRACT TAXES. (a) In accordance with
190	196		Section 49.108, Water Code, the district may impose a tax other than
191	197		an operation and maintenance tax and use the revenue derived from
192	198		the tax to make payments under a contract after the provisions of
193	199		the contract have been approved by a majority of the district voters
194	200		voting at an election held for that purpose.
195	201		(b) A contract approved by the district voters may contain a
196	202		provision stating that the contract may be modified or amended by
197	203		the board without further voter approval.
198	204		SUBCHAPTER E. BONDS AND OTHER OBLIGATIONS
199	205		Sec. 8267.0501. AUTHORITY TO ISSUE BONDS AND OTHER
200	206		OBLIGATIONS. The district may issue bonds or other obligations
201	207		payable wholly or partly from ad valorem taxes, impact fees,
202	208		revenue, contract payments, grants, or other district money, or any
203	209		combination of those sources, to pay for any authorized district
204	210		purpose.
205	211		Sec. 8267.0502. TAXES FOR BONDS. At the time the district
206	212		issues bonds payable wholly or partly from ad valorem taxes, the
207	213		board shall provide for the annual imposition of a continuing
208	214		direct ad valorem tax, without limit as to rate or amount, while all
209	215		or part of the bonds are outstanding as required and in the manner
210	216		provided by Sections 54.601 and 54.602, Water Code.
211	217		Sec. 8267.0503. BONDS FOR ROAD PROJECTS. At the time of
212	218		issuance, the total principal amount of bonds or other obligations
213	219		issued or incurred to finance road projects and payable from ad
214	220		valorem taxes may not exceed one-fourth of the assessed value of the
215	221		real property in the district.
216	222		SECTION 2. The 7S Ranch Municipal Utility District
217	223		initially includes all the territory contained in the following
218	224		area:
219	225		486.289 acres of land situated in the George Glasscock Survey,
220	226		Abstract No. 243, in Williamson County, Texas, being the tracts
221	227		conveyed to S7 Limited Partnership No. 1 by instruments of record
222	228		in Document Nos. 9819357 (341.7957 ac.) 2015063709 (145.838 ac.) of
223	229		the Official Public Records of Williamson County, Texas, and being
224	230		more particularly described as follows:
225	231		Beginning at the northwest corner of a 221.62 acre tract conveyed to
226	232		John Isbel by instrument of record in Document No. 2004074056, for
227	233		an interior ell corner and the Point of Beginning of the herein
228	234		described tract;
229	235		Thence S 18 deg 14 min 10 sec E 1593.39 feet to the southwest corner
230	236		of the said 221.62 acre tract, being also the northeast corner of a
231	237		154.34 acre tract conveyed to McMaster Farm Partnership by
232	238		instrument of record in Document No. 2003062525, for the most
233	239		southerly southeast corner of the herein described tract;
234	240		Thence S 71 deg 09 min 11 sec W 2490.75 feet to the northwest corner
235	241		of the said 154.34 acre tract, being also the southeast corner of a
236	242		56.63 acre tract conveyed to Grace Johnson by instrument of record
237	243		in Document No. 2006084230, for the southmost southwest corner of
238	244		the herein described tract;
239	245		Thence N 17 deg 30 min 32 sec W 1034.44 feet to the northeast corner
240	246		of the said 56.63 acre tract, for an interior ell corner of the
241	247		herein described tract;
242	248		Thence S 72 deg 30 min 31 sec W 1146.31 feet to a point on the
243	249		northerly line of the said 56.63 acre tract, for the southwest
244	250		corner of the herein described tract;
245	251		Thence N 18 deg 14 min 41 sec W 2472.25 feet to the southerly
246	252		right-of-way of FM 970, for the northwest corner of the herein
247	253		described tract;
248	254		Thence with the said right-of-way the following courses and
249	255		distances:
250	256		N 74 deg 11 min 58 sec E 917.11 feet;
251	257		N 74 deg 08 min 00 sec E 545.42 feet;
252	258		N 74 deg 01 min 30 sec E 1927.02 feet;
253	259		N 72 deg 27 min 30 sec E 1574.16 feet;
254	260		N 71 deg 49 min 00 sec E 1909.53 feet;
255	261		N 71 deg 51 min 00 sec E 2101.17 feet;
256	262		With a curve to the left whose radius = 756.34 feet, tangents =
257	263		85.78 feet, arc = 170.83 feet and whose chord bears N 64 deg 55 min
258	264		00 sec E 170.47 feet;
259	265		N 72 deg 32 min 00 sec E 172.92 feet to a tract of land conveyed to
260	266		Bobby Rosenbusch by instrument of record in Document
261	267		No. 2016115566, for the northeast corner of the herein described
262	268		tract;
263	269		Thence S 18 deg 34 min 00 sec E 1750.93 feet to the north line of the
264	270		said 221.62 acre tract, for the southeast corner of the herein
265	271		described tract;
266	272		Thence S 71 deg 42 min 00 sec W 2448.59 feet and S 71 deg 40 min 00
267	273		sec W 3251.18 feet to the Point of Beginning, containing 486.289
268	274		acres of land, more or less.
269	275		SECTION 3. (a) The legal notice of the intention to
270	276		introduce this Act, setting forth the general substance of this
271	277		Act, has been published as provided by law, and the notice and a
272	278		copy of this Act have been furnished to all persons, agencies,
273	279		officials, or entities to which they are required to be furnished
274	280		under Section 59, Article XVI, Texas Constitution, and Chapter 313,
275	281		Government Code.
276	282		(b) The governor, one of the required recipients, has
277	283		submitted the notice and Act to the Texas Commission on
278	284		Environmental Quality.
279	285		(c) The Texas Commission on Environmental Quality has filed
280	286		its recommendations relating to this Act with the governor, the
281	287		lieutenant governor, and the speaker of the house of
282	288		representatives within the required time.
283	289		(d) All requirements of the constitution and laws of this
284	290		state and the rules and procedures of the legislature with respect
285	291		to the notice, introduction, and passage of this Act are fulfilled
286	292		and accomplished.
287	293		SECTION 4. (a) If this Act does not receive a two-thirds
288	294		vote of all the members elected to each house, Subchapter C, Chapter
289	295		8267, Special District Local Laws Code, as added by Section 1 of
290	296		this Act, is amended by adding Section 8267.0307 to read as follows:
291	297		Sec. 8267.0307. NO EMINENT DOMAIN POWER. The district may
292	298		not exercise the power of eminent domain.
293	299		(b) This section is not intended to be an expression of a
294	300		legislative interpretation of the requirements of Section 17(c),
295	301		Article I, Texas Constitution.
296	302		SECTION 5. This Act takes effect immediately if it receives
297	303		a vote of two-thirds of all the members elected to each house, as
298	304		provided by Section 39, Article III, Texas Constitution. If this
299	305		Act does not receive the vote necessary for immediate effect, this
300	306		Act takes effect September 1, 2021.
301		-	______________________________ ______________________________
302		-	President of the Senate Speaker of the House
303		-	I certify that H.B. No. 2235 was passed by the House on May 8,
304		-	2021, by the following vote: Yeas 112, Nays 27, 2 present, not
305		-	voting.
306		-	______________________________
307		-	Chief Clerk of the House
308		-	I certify that H.B. No. 2235 was passed by the Senate on May
309		-	27, 2021, by the following vote: Yeas 30, Nays 1.
310		-	______________________________
311		-	Secretary of the Senate
312		-	APPROVED: _____________________
313		-	Date
314		-	_____________________
315		-	Governor
	307	+	* * * * *